China Warns U.S. on Taiwan

[binTravkin]

Just think one people want to dissolve a relationship with another and go out on their own. 1776 we did and GB said NO. We did anyway.

Go Tawain, do it, we did.

Actually your analogy is almost full reverse of what is between Taivan and China.

If US one day decided to annex UK ('because they're our former oppressors and militarists and speak the same (?) language!') and EU countries would send their military to patrol Atlantic, you'd have something very similar.

[DaShi]

Originally posted by Tingkai


Oh, I don't know, maybe dump all the American dollars that they hold and sell off all the treasury bills.

Thinks to George Bush, China has the U.S. by the financial balls.

That's a good idea. All the American companies would return to the US returning lost jobs. And the US will have to raise its tariff rates to say those that the Chinese charge US imports. China would lose more than half of its industry overnight. It would sting the US a little to start, but the way Bush has screwed up America, it would only lead to an improvement. China, however, wouldn't fair so well now at the mercy of the Europeans and Japanese to support its dying economy.

[Kidlicious]

Originally posted by Tingkai


Oh, I don't know, maybe dump all the American dollars that they hold and sell off all the treasury bills.

Thinks to George Bush, China has the U.S. by the financial balls.

It goes two ways. The Pacific Rim economy is dependent on trade. Dumping those dollars would screw everybody. The US would recover much quicker than China. There's some question whether China would every recover.

[DinoDoc]

I don't see what the big deal is. According to the article that Council had largely been abandoned since 2000, (Lord knows when that last time it was it did anything meaningful) why is China whining now?

[DaShi]

Because China doesn't like being one upped.

[Tingkai]

Originally posted by Kidicious


It goes two ways. The Pacific Rim economy is dependent on trade. Dumping those dollars would screw everybody. The US would recover much quicker than China. There's some question whether China would every recover.

The initial dumping of U.S. dollars would push the dollar value down, making it more expensive for the U.S. to import goods, except from China because the RMB and the dollar are linked, American businesses and consumers would find an economic advantage in buying more Chinese goods as other imports have become more expensive.

But the increased cost of imports would severely harm the U.S. economy.

With the RMB linked to the dollar, China's exports would become cheaper on the global market, leading to more sales. The downside would be an increase in the cost of imported goods, but with the Chinese economy booming, a slowdown of say five GDP growth percentage points would actually benefit the Chinese economy.

[DaShi]

Originally posted by Tingkai


The initial dumping of U.S. dollars would push the dollar value down, making it more expensive for the U.S. to import goods, except from China because the RMB and the dollar are linked, American businesses and consumers would find an economic advantage in buying more Chinese goods as other imports have become more expensive.

But the increased cost of imports would severely harm the U.S. economy.

With the RMB linked to the dollar, China's exports would become cheaper on the global market, leading to more sales. The downside would be an increase in the cost of imported goods, but with the Chinese economy booming, a slowdown of say five GDP growth percentage points would actually benefit the Chinese economy.

The American dollar is linked with many other currencies. This is a non sequitor. Actually, the Chinese have been trying to dissociate their currency with the US dollar for fear of its decline. The decline of the US dollar will not help China in the least. What you describe is exactly what is happening now. This is the exact reason that the Chinese have been deliberately keeping their own currency low. I"m not an economist, but even I can see how obviously wrong your statement is.

[DaShi]

This is the exact type of fantasy that resulted in Japan being so unprepared for its economic collapse. China has a lot more riding on its economy than Japan did.

[Japher]

China, Iran, who else?

when's the war? I'll bring the tea

[DaShi]

WWIII just looms upon the horizon, doesn't it?

[Japher]

It's scary

Especially with Russia in limbo
Iraq unresolved
N. Africa in a general revolution
Afganistan really unresolved
India chomping at the bit

The only REAL US supporters are the UK and Australia

China, the last beacon of communism, is flaunting their success (and righfully so)

I wonder what will happen at the next Olympics

the stage is really set, and it doesn't take a genius to see it

[DaShi]

I know. I can see it.

[Joseph]

Originally posted by binTravkin

Actually your analogy is almost full reverse of what is between Taivan and China.

If US one day decided to annex UK ('because they're our former oppressors and militarists and speak the same (?) language!') and EU countries would send their military to patrol Atlantic, you'd have something very similar.

It was OK that we did it, but not OK if Taiwan does it. That real good.

[Tingkai]

He didn't make any judgements. He just said your analogy is backwards

[Pekka]

Well Taiwan is basically the Chinese who went smart. China PRC is embarrased and they want to flex some muscles, but it's even more embarrasing as they try to fix relations with Japan. Because they really are not trying that one either. Every other day they threaten that the relations will go dry if they don't get the behaviour they want in Japan. Which they don't.

They're all talk. While they have power, a lot of it, the only way they'll work is aligning themselves and bury the hatchet with their dissident little neighbours. If not, well, they can bump their collective communist heads into the wall. THere's too much Western interest in there, they can't do anything. Unless they want to burn it all down and drag everyone else into the flames with them.